Industry News

Jun 21, 2011

The balance on his line of credit is more than $100,000, but he’s paying off his credit cards every month.

He’s a friend of mine and his credit profile is pretty typical – smart enough not to pay the astronomical rates on his charge cards, but using the lower rate on his line of credit to cover the gap between his spending and his income.

And now he’s doing an even smarter thing. He’s actually paying down that line of credit.

A new study from TD Canada Trust says Canadians are beginning to get the message that it’s time to stop accumulating debt, but what about paying it down?

With interest rates expected to rise, nearly four-in-10 Canadians believe that a fixed mortgage rate is the way to go over the next year, a new poll shows.

Still, another 32%, or nearly one-third, would choose a variable rate, which moves up and down with the prime rate, according to the survey released Thursday by CIBC.

“The results confirm there really isn’t one right answer when it comes to choosing a mortgage and the rate alone is not the only factor that Canadians consider,” Colette Delaney, senior vice president of mortgages, lending and insurance at CIBC Retail Markets, said in an interview.

Variable mortgage rates tend to be lower than fixed rates. That’s because with fixed rates, you’re paying extra for the peace of mind of knowing that if rates move up, you will not be affected.

Often, entrepreneurs are characterized as the “rock stars” of the business world. This romantic vision is appealing but, like most stereotypes, a far cry from reality.

So, what makes a good entrepreneur great? There’s no entrepreneurship gene. But a new Ernst & Young survey shows leading entrepreneurs do share common traits, beliefs and approaches that empower them to drive innovation – and economies – around the world.

Click here to read 10 things top entrepreneurs do differently in the Globe and Mail.

Homeowner’s insurance is one of the most common types of insurance and one of the least understood.

Many homeowners believe that their policies will cover them for practically any damage sustained to the house or contents. The reality is that homeowner’s policies contain many exclusions and restrictions on coverage that can leave you with a coverage gap.

Click here to read five common myths about homeowner’s insurance from the Globe and Mail.